Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Apple Inc. (AAPL) Still A Top Pick Of This Fund. What Does It See?

Page 1 of 2

Editor’s Note: Related tickers: Apple Inc. (NASDAQ:AAPL), Goldman Sachs Group, Inc. (NYSE:GS), Lennar Corporation (NYSE:LEN), Google Inc (NASDAQ:GOOG), eBay Inc (NASDAQ:EBAY), Toll Brothers Inc (NYSE:TOL)

Mark Asset Management was founded by Morris Mark in 1986 and grew to around $2 billion under management around the time of the tech bubble. After many of his initial investors withdrew their money from the fund, Mark resumed a low profile and has only just begun a fundraising initiative designed to grow assets under management. Before founding his hedge fund, Mark had worked under Leon Cooperman at Goldman Sachs Group, Inc. (NYSE:GS).


Mark Asset Management recently filed its quarterly 13F filing, disclosing many of its long equity positions as of the end of March. This quarter we will begin tracking its filings alongside those of hundreds of other hedge funds and notable investors in our database, which we use to develop investing strategies. We have found, for example, that the most popular small cap stocks among hedge funds generate an average excess return of 18 percentage points per year (learn more about imitating small cap picks). Read on for our quick take on Mark’s five largest holdings or see the full list of stocks from the 13F.

The largest holding in Mark’s portfolio was Apple Inc. (NASDAQ:AAPL), as the fund disclosed ownership of about 40,000 shares. Apple Inc. (NASDAQ:AAPL) had lost its place as the most popular stock among hedge funds during the fourth quarter of 2012 to AIG (find more of hedge funds’ favorite stocks), and during the first quarter of 2013 its earnings fell 18% versus a year earlier. The stock does trade at only 11 times trailing earnings (and that’s not taking into account the sizable cash hoard) and so Apple Inc. (NASDAQ:AAPL) could be a good value if it is able to stabilize its business.

Image: Apple Inc. (NASDAQ:AAPL)

According to the 13F, Mark owned close to 420,000 shares of Lennar Corporation (NYSE:LEN) at the beginning of April. Homebuilders have done well in the market as housing data continues to be good, and the stock price is up 51% in the last year accompanying high growth on both top and bottom lines. However, a number of market players are bearish on Lennar Corporation (NYSE:LEN) as shown by the fact that 23% of the float is held short. The stock’s beta of 1.8 demonstrates how sensitive homebuilders are to general economic conditions.

Mark and his team had about 20,000 shares of Google Inc (NASDAQ:GOOG) in their portfolio at the end of Q1. Google Inc (NASDAQ:GOOG) has been another growth stock, with the company reporting 16% earnings growth in its most recent quarter compared to the same period in the previous year; net income is increasing as the company integrates Motorola Mobility Holdings and the general search business grows. However, current prices already include substantial future growth as shown by the trailing P/E of 26.

Who’s the best of the rest?

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!